Dun & Bradstreet Pakistan and Gallup Pakistan have recently launched the fourteenth edition of the ‘Pakistan Consumer Confidence Index (CCI) Q2 2023-24’. This publication systematically evaluates consumers’ confidence in the economy and their personal financial situation from July 2023 to September 2023. The CCI report gauges sentiments across four critical parameters i.e. Household Financial Situation, Country’s Economic Situation, Unemployment Situation, and Household Savings. The index provides insights into both ‘Current Sentiments’, reflecting economic changes experienced in the last six months, and ‘Future Expectations’, anticipating changes for the next six months. It offers a comprehensive view of consumers’ perspectives across the country, making it a valuable tool for understanding the economic landscape and how it can be expected to unfold.
Mr. NiranRehman, Chief Business Officer of Dun & Bradstreet Pakistan stated, “I find the Consumer Confidence Index (CCI) report to be a crucial tool for various stakeholders, including Policy Makers, Development Financial Institutions, and businesses across sectors. The insights gathered from this report will not only aid in understanding the current economic landscape but also provide valuable foresight into consumer sentiments. It is particularly relevant for industries directly impacted by consumer behavior. D&B Pakistan remains committed to providing insightful data that contributes to informed decision-making in these evolving economic times in Pakistan.”
Mr. Bilal IjazGilani, Executive Director Gallup Pakistan, while commenting on the findings of the report, added, “It is with satisfaction that we note that the Consumer Confidence Index continues to improve in Pakistan for a second quarter. Inflation slowing down, exports rising, and relative stability in economic policymaking seems to be driving optimism at the consumer end.”
In this survey a telephonic discussion was conducted with 1,403 respondents during October and November 2023 and thus relates to Second Quarter of Financial Year 2023-24 (FY2023-24).
The Consumer Confidence Index ranges from 0 to 200, with 100 as the neutral value. A score of less than 100 indicates pessimism and above 100 indicates optimism. The current quarter’s Consumer Confidence Index is 79.7 points, compared to 65.8 points in the previous quarter. Thus, the overall consumer confidence has alleviated from extremely pessimistic to pessimistic; the last time it was in this range was over a year ago.
About three out of five consumers were hopeful that the economic situation would either stay the same or improve in the next six months. Similar sentiments were observed regarding the Household Financial Situation improvement as well. Despite improvements in Prices of Daily Essentials and Household Savings, employment opportunities remained a key concern. Four out of five consumers surveyed felt that the Unemployment Situation has gotten worse in the last six months; however, they were relatively more optimistic about the future with half of the consumers expecting the employment situation to get worse.
